MTN Nigeria Earns N190bn Profit in 2015

THE MTN Group has earned $955 million profit (N190 billion)  in annual profit after tax, from its Nigerian business for the year ending, 2015.

 

A statement from the company in South Africa said that the Profit after tax figure for MTN Nigeria for the period ended 31 December 2015 being quoted in the press article, is 190 billion naira ($955 million), which is within the current estimate.

 

MTN, which is the largest single network in Africa and in Nigeria had of recent being recording significant profit increase until it was fined $5.2 billion for failing to disconnect users of unregistered SIM cards.

 

The Group, which makes about 37 percent of its revenue from Nigeria, recently replaced the Nigerian managing director, with a South Africa following the crisis of the SIM card registration, and headed for the court seeking for redress over the enormity of the fine.

 

In 2014, MTN Nigeria revenue increased from N793.6billion in 2013 to N824.80 billion as at December 31, 2014 defying tough regulatory environment under which it operated as its subscriber base rose to 59.9 million whilst retaining the top spot in the 21 countries where the group operates.

 

According to MTN Group’s 2014 financial report Group subscription increased 7.5 per cent to 223.4 million with Iran having 44million, South Africa 28 million, Ghana 13.9 million, Ivory Coast 8 million, Cameroun 9.7 million, Syria 5.9 million, Sudan 9 million and Uganda 10.4 million.

 

The financial report showed that MTN Nigeria total revenue increased by 12.1 per cent or 3.7 per cent in constant-currency terms, below expectations, although MTN’s revenue market share remained stable.

 

On the other hand, data revenue grew strongly, increasing by 28.3 per cent to contribute 18.6 per cent of total revenue at year-end while the number of smartphones on its network increased 51.2 per cent to 9.3 million as at December 31, 2014.

 

Still in the name period, MTN Nigeria had reported first and second half revenues of N413.61 billion and N411.19 billion respectively while recording subscriber growth of 5.5 per cent yearly adding 1.5m in the fourth quarter 2014.

 

Also, the Group revenue grew by 6.4 per cent in the year largely the result of an increase of 12.1 per cent in MTN Nigeria’s revenue and a decline of 3.9 per cent in MTN South Africa’s revenue.

 

Following the announcement of the report, shares in MTN were up 0.8 percent at 121.50 rand by 1006 GMT, lagging a 1.4 percent rise in the JSE Top-40 index.